Zepto, a rapidly growing quick commerce platform, has recently raised an additional $31.25 million in its most recent funding round. Notable investors, including Goodwater Capital, Nexus Venture Partners, and angel investors Oliver and Lish Jung, and Mangum II, have participated in this funding round. Zepto confirmed this investment, as reported by DealStreetAsia, to YourStory. This significant funding comes shortly after Zepto's earlier $200 million funding round, which was led by StepStone Group, Goodwater Capital, Nexus Venture Partners, and Glade Brook Capital, and it valued the Mumbai-based company at an impressive $1.4 billion. This valuation solidified Zepto's position as the first unicorn of 2023.

Co-founded by Aadit Palicha and Kaivalya Vohra, Zepto has ambitious intentions for its latest funding. The company aims to strengthen its presence in India's top seven cities, which include Mumbai, Delhi-NCR, Bengaluru, Hyderabad, Chennai, Pune, and select areas of Kolkata. Avendus Capital served as the exclusive financial advisor for this funding round. In terms of financial performance, Zepto has reported substantial revenue growth, with its figures surging to Rs 2,024 crore in FY23, marking a significant increase from Rs 142.4 crore in the previous fiscal year. However, the company has also reported an increase in losses, which rose to Rs 1,272 crore in FY23, compared to Rs 390.4 crore in FY22.

Aadit Palicha, the Co-founder and CEO of Zepto, has not disclosed specific details regarding the amount the company aims to raise through its planned initial public offering (IPO) in early 2025. Nonetheless, he did mention in August that the $200 million capital raised in the recent funding round serves as a pre-IPO financing phase, characterized as a "capital-building exercise". Palicha stressed that this capital injection would be directed towards investments in stores over the next 1-3 months, with a focus on generating returns over the subsequent 9-12 months to advance the company's journey towards profitability.